Question
What is the effect of treating a lease as a capital lease instead of an operating lease on the lessees current ratio and debt ratio.
What is the effect of treating a lease as a capital lease instead of an operating lease on the lessees current ratio and debt ratio.
a. Under a capital lease, the current ratio is lower and the debt ratio is lower.
b. Under a capital lease, the current ratio is lower and the debt ratio is higher.
c. Under a capital lease, the current ratio is higher and the debt ratio is lower.
d. Under a capital lease, the current ratio is higher and the debt ratio is higher
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Institutional Factors Affecting Internal Audit Benefits Of Controlling Institutional Factors That Affect Internal Audit
Authors: Brian Sempebwa, David B.
1st Edition
3659490911, 978-3659490910
